TO: Proximity Media music team members
FROM: Jed Lowman
DATE: Feb 20, 2010
SUBJECT: Clear Channel Communications strategy analysis
Below is my strategy analysis for Clear Channel Communications. Profile:
Headquartered in San Antonio, Texas, Clear Channel Communications owns and operates radio stations and outdoor advertising. Clear Channel currently owns approximately 900 radio stations. Clear Channel purchased its first radio station in 1975 and government deregulation in the mid 1990’s allowed Clear Channel to quickly grow to its current size.
Clear Channel’s revenue from radio stations accounts for half of the company’s total revenue, which is estimated at 5 billion dollars. Mark Mays is the current president and CEO. Despite its power in the 1990s, Clear Channel has fallen on hard times. Despite its overwhelming size, Clear Channel is burdened with large debt and decreasing advertising revenues. The company consistently posts negative earnings.
Competitive Landscape:
- Clear Channel is no longer the only source for popular music. The advent of portable music devices and their related music applications greatly reduce Clear Channel’s hold on the industry.
- Advertising revenue has greatly decreased as a result of newer forms of marketing.
Clear Channel ‘s Business Strategy:
Clear Channel’s business strategy used to be one of sheer size. They were the biggest and the most profitable because they controlled the airwaves. Currently Clear Channel focuses on not only delivering consistent However, radio advertising is no longer the staple of business that it once was. New technology and new marketing have replaced archaic mediums like newspapers and radio.
Clear Channel did not completely miss the turn of the century. Clear Channel recently launched the IHeartRadio app for the iPhone and Blackberry. This app allows users to hear streaming radio from anywhere. The long term implications of the app are uncertain despite its popularity. Commentators note that any advertising revenue from the app will probably not make up for the vast amount of losses that currently plague the company.
Implications of strategy:
If the goal of Proximity’s customers is to reach Generation Y, I would recommend avoiding Clean Channel’s radio stations.
Maybe just try to write a couple more sentences about the implications to Gen Y. Just don't forget your references in APA format
TO: Proximity Media music team members
FROM: Jed Lowman
DATE: Feb 20, 2010
SUBJECT: Clear Channel Communications strategy analysis
Below is my strategy analysis for Clear Channel Communications.
Profile:
Headquartered in San Antonio, Texas, Clear Channel Communications owns and operates radio stations and outdoor advertising. Clear Channel currently owns approximately 900 radio stations. Clear Channel purchased its first radio station in 1975 and government deregulation in the mid 1990’s allowed Clear Channel to quickly grow to its current size.
Clear Channel’s revenue from radio stations accounts for half of the company’s total revenue, which is estimated at 5 billion dollars. Mark Mays is the current president and CEO. Despite its power in the 1990s, Clear Channel has fallen on hard times. Despite its overwhelming size, Clear Channel is burdened with large debt and decreasing advertising revenues. The company consistently posts negative earnings.
Competitive Landscape:
- Clear Channel is no longer the only source for popular music. The advent of portable music devices and their related music applications greatly reduce Clear Channel’s hold on the industry.
- Advertising revenue has greatly decreased as a result of newer forms of marketing.
Clear Channel ‘s Business Strategy:
Clear Channel’s business strategy used to be one of sheer size. They were the biggest and the most profitable because they controlled the airwaves. Currently Clear Channel focuses on not only delivering consistent However, radio advertising is no longer the staple of business that it once was. New technology and new marketing have replaced archaic mediums like newspapers and radio.
Clear Channel did not completely miss the turn of the century. Clear Channel recently launched the IHeartRadio app for the iPhone and Blackberry. This app allows users to hear streaming radio from anywhere. The long term implications of the app are uncertain despite its popularity. Commentators note that any advertising revenue from the app will probably not make up for the vast amount of losses that currently plague the company.
Implications of strategy:
If the goal of Proximity’s customers is to reach Generation Y, I would recommend avoiding Clean Channel’s radio stations.
Maybe just try to write a couple more sentences about the implications to Gen Y.
Just don't forget your references in APA format